Area Real Estate Sales in February Remain Strong

Canada's real estate market continues to lead the country's economic rebound and sales in the Georgian Triangle are no exception. Area sales reported through the MLS® system of the Georgian Triangle Real Estate Board (GTREB) continue to show greatly improved strength over this time last year. Sales in February of $29.1 million were 52% higher than in February 2009 bringing the year-to-date total to $49.6 million an increase of 53% over the first two months of last year.
Unit sales in February totaled 107 properties as compared to 77 properties sold in the same month last year, an increase 0f 39%. Year-to-date sales of 188 units represents a 46% increase over the 129 properties sold by the end of February 2009 clearly reflecting much improved market conditions.
Overall, we are seeing a reduction in listing inventory. Year-to-date the number of new listings has dropped modestly (2.0%) from 860 to 843. There has been a a sharper decline in the number of expired listings which have dropped from 640 last year to 555 this year, a decrease of 13%. As with anything, supply and demand plays a significant role in price. A significant increase in sales combined with less inventory will serve to create a more balanced market with less buyers finding themselves in perhaps a less favourably position from where they have been for the past few months.
As was the case throughout 2009, the Blue Mountains continues to lead area municipalities in sales growth. Year-to-date, 20 MLS® sales have been reported in the Blue Mountains compared to just 9 last year, an increase of 122%. Sales in other municipalities are as follows: Collingwood up 81%, Municipality of Meaford up 50%, Clearview up 29%, Grey Highlands up 25% and lastly sales in Wasaga Beach are up 21%.
With higher interest rates looming on the horizon and tighter lending rules recently improsed by the federal government, what happens in the remainder of 2009 is anyone's guess but all indications are that the first six months of the year should remain strong. Market conditions overall have not regained the same strength as shown in 2008 however slow and steady growth is much more preferable and sustainable than the frantic pace of past markets.